Under fixed assets understand the material and material values that are constantly involved in any production process. Fixed assets do not change their natural and material forms; as they wear, they transfer their value to finished products .
In other words, it can be said that fixed assets are tangible assets that are contained in order to use them in various procedures, to provide services or to deliver goods, to lease or to carry out socio-cultural and administrative functions.
First of all, it is necessary to determine the object of fixed assets, what is it? The object of fixed assets can be various actions:
- unfinished construction with all accessories and fixtures;
- a separate structural subject, which is designed to perform independent and specific functions;
- a set of icy and structural items, which can be different and the same in purpose, but have a common foundation and a common device for management and maintenance;
- or another asset that meets the definition of fixed assets. There may also be a part of the asset that the company controls.
We can distinguish groups of fixed assets that determine the totality of objects that are identical in purpose, technical characteristics and safety conditions. The classification of groups of fixed assets is divided, which can be expanded, divided into subgroups on your own, in use, leased fixed assets. Enterprises can separate groups of fixed assets that are under repair, lease, reconstruction, modernization, completion and partial liquidation.
Also, the classification of fixed assets by groups can be divided into several types:
- natural resources and land;
- capital expenditures for radical land improvement;
- structures, buildings and transmission devices;
- equipment and power and working machines;
- vehicles ;
- furniture, regulating, measuring devices and devices, household and industrial equipment, tools;
- productive, breeding and working cattle;
- perennial plantings;
- investments in leased facilities;
- and other fixed assets.
Groups of fixed assets cannot include assets such as - items that have served less than 1 year; fishing gear; company and special shoes and clothes, tools for targeted use; bed dress; perennial plantings in nurseries; experimental animals and young animals; temporary structures and more.
To consider such a concept as fixed asset accounting groups , it is necessary to understand the main tasks that an accountant faces. There are several types of tasks:
- ensure the safety of fixed assets. Constantly and timely reflect in the account all movements, operations, receipts, retirements and repairs of fixed assets. Here you need the correct execution of all documents.
- correctly calculate all depreciation charges in order to form the economic and objective cost of the released services or products.
- effectively control all uses of fixed assets of any enterprise.
- keep track of the costs of modernization and repair of fixed assets.
It is very difficult to assess the importance of using fixed assets for the efficient operation of an enterprise. New tools are constantly being received and put into operation. Those that were already begin to wear out. Some of them are being repaired, modernized, or completely retired if fixed assets are completely worn out. That's why careful accounting, control and analysis of fixed assets is required.